Ignis unveils Absolute Return Government Bond fund

Ignis Asset Management is launching an Absolute Return Government Bond fund at the end of March, targeting net returns of 2% to 3% a year in excess of cash.

The Luxembourg-domiciled fund will be managed by Russ Oxley, the firm's head of rates and Stuart Thomson, chief economist, who will actively trade a portfolio of government bonds and currencies. It will be the first retail proposition from the firm's rates team, which manages over £28bn for institutional investors. The rates team uses a process that breaks down developed country government yield curves into discrete forward rates, allowing Oxley and Thomson to target specific forward rates. The UCITS III fund will primarily invest in government bonds, but can also take long and sho...